Over the past year, Ionia's money supply decreased by $1 billion, $3 billion in bonds were sold to the public, an unused military base was sold for $5 billion, and the government spent $20 billion.  Answer a,b & c.   a. Ionia had a budget deficit. surplus.   b. Determine the amount of Ionia's budget deficit or surplus. $            billion.   c. Determine the amount of Ionia's tax revenue for the year. $            billion

Principles of Economics 2e
2nd Edition
ISBN:9781947172364
Author:Steven A. Greenlaw; David Shapiro
Publisher:Steven A. Greenlaw; David Shapiro
Chapter30: Government Budgets And Fiscal Policy
Section: Chapter Questions
Problem 51P: A government starts off with a total debt of $3.5 billion. In year one, the government runs a...
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Over the past year, Ionia's money supply decreased by $1 billion, $3 billion in bonds were sold to the public, an unused military base was sold for $5 billion, and the government spent $20 billion.  Answer a,b & c.
 
a. Ionia had a budget
deficit.
surplus.
 
b. Determine the amount of Ionia's budget deficit or surplus.
$            billion.
 
c. Determine the amount of Ionia's tax revenue for the year.
$            billion
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